Slide 1: 3Q FY22/12 Results Briefing
Tokyo Stock Exchange Prime Market 6143 3Q FY22/12 Results Briefing November 11, 2022
Slide 2: Agenda
1. 3Q FY22/12 Financial Results Summary 2. FY22/12 Full-year Financial Results Projections 3. Revision of Shareholder Return Policy 2
Slide 3: Financial Results Highlights
Financial Results Highlights Despite an increase in net sales, operating profit decreased due to higher costs. FY22 59.7 billion yen 10.7% Q3 Sales: up YoY OP: 4.5 billion yen down 7.9% YoY Although demand from semiconductor and electronic component industries remained firm, outlook of demand in Gre
Slide 4: Financial Results Highlights
Financial Results Highlights Net sales increased due to an increase in sales of machine tools and injection molding machines. (The amount influenced by the weakening yen was about 4.25 billion yen.) Operating profit declined due to soaring material prices and transportation costs, higher personn
Slide 5: Details of Changes in Operating Profit
Details of Changes in Operating Profit Although gross profit advanced due to higher sales, personnel expenses increased as a result of strengthened hiring and salary revisions associated with expansion of strategic human resource investment. Consequently, operating profit shrank roughly 0.4 billio
Slide 6: Ratio of Operating Profit to Net Sales (Quarterly)
Ratio of Operating Profit to Net Sales (Quarterly) Operating profit margin Net sales decreased due to the spread of the COVID-19. Sales of EDMs was Net sales have recovered in Decrease in operating Greater China since March Recovery from a fall profit margin due to sluggish owing to the and are show
Slide 7: Financial Results by Segment
Financial Results by Segment FY18 FY19 FY20 FY21 FY22 YoY (million yen) Change 3Q 3Q 3Q 3Q 3Q Machine tool segment 45,117 34,498 26,317 37,248 42,564 14.3% Industrial machinery 7,736 7,242 8,045 6,928 8,115 17.1% segment Food machinery segment 4,934 3,470 2,223 5,063 4,164 -17.8% Other segments 4,78
Slide 8: Financial Results by Segment: Machine Tool Segment
Financial Results by Segment ■ Machine Tool Segment Net sales (Quarterly changes) ・Demand from electronic component, semiconductor, 20,000 and EV-related industries was strong in Japan, the West, and Asia. 16,000 14,318 Net sales ・In Greater China, EV-related demand was robust, but smartphone and co
Slide 9: Financial Results by Segment: Industrial Machinery Segment
Financial Results by Segment ■ Industrial Machinery Segment Net sales (Quarterly changes) ・Demand from EV-related and electronic component 4,000 industries was brisk in Japan. ・Higher interest rates dampened performance in the 2,871 Net sales 3,000 U.S. ・In Greater China, EV and medical-related dema
Slide 10: Financial Results by Segment: Food Machinery Segment
Financial Results by Segment ■ Food Machinery Segment Net sales (Quarterly changes) ・Demand for noodle-making machine-related 3,000 equipment in Japan and sterile-packed cooked rice production systems for overseas markets was strong. Net sales ・Negotiations for several projects were prolonged and 2,
Slide 11: Financial Results by Segment: Other Segments
Financial Results by Segment ■ Other Segments Net sales (Quarterly changes) 2,000 1,431 Net sales from the precision die and molding 1,500 Net sales business remained flat from the same period a year earlier due in part to supply chain disruptions. 1,000 Demand continued for ceramics for semiconduct
Slide 12: Balance Sheet
Balance Sheet Total assets significantly increased due partly to a push by the weak yen Net assets increased due to an increase (about 6.4 billion yen) in foreign currency translation adjustments owing to the weakening yen, and equity ratio also improved 145,283 134,866 33,424 119,555 40,847 114
Slide 13: Agenda
1. 3Q FY22/12 Financial Results Summary 2. FY22/12 Full-year Financial Results Projections 3. Revision of Shareholder Return Policy 13
Slide 14: Changes in Amount of JMTBA Orders and EDM Orders
Changes in Amount of JMTBA Orders and in Number of EDMs Ordered from the Company JMTBA Machine Tool Orders (value) (million yen) (units) Sodick EDM Orders (units) Record-high monthly orders (2021/3) The demand increased in China A decrease due to A fall due to the spread of the the 2008 COVID-19 fin
Slide 15: Changes in Numbers of EDMs Ordered in Quarters by Region
Changes in Numbers of EDMs Ordered in Quarters by Region The number of orders received from auto-related industries was on a North and Orders from medical-related industries were strong. The number of Europe recovery trend. Performance in 3Q was weak due to seasonal factors. Some manufacturers refra
Slide 16: FY22/12 Full-year Financial Results Projections
FY22/12 Full-year Financial Results Projections (by Segment) Downward revision from the full-year forecast disclosed in August. Net sales forecast was revised downward due to expected sales decline in both machine tools and industrial machinery affected by lower facility investment appetite in G
Slide 17: FY22/12 Full-year Projections (by Segment)
FY22/12 Full-year Financial Results Projections (by Segment) Machine tools: We revised both net sales and segment profit forecasts downward due to lower investment sentiment in Greater China. Industrial machinery: Disruptions in the supply chain and the impact of rising electricity and material
Slide 18: Agenda
1. 3Q FY22/12 Financial Results Summary 2. FY22/12 Full-year Financial Results Projections 3. Revision of Shareholder Return Policy 18
Slide 19: Revision of Shareholder Return Policy
Revision of Shareholder Return Policy Reviewed financial policy in February 2022 and introduced “total return ratio of 30% or more” as shareholder return policy Raised the total return ratio from “30% or more” to “40% or more” in order to increase share value by further increasing shareholder re
Slide 20: Shareholder Returns
Shareholder Returns ■Dividend Trends ■Purchase of Own Shares and Cancellation of Treasury Shares Continuously increase dividends based on a basic Purchase and retire treasury shares to enhance policy of a dividend on equity ratio (DOE) of 2% or shareholder returns and respond to changes in the m
Slide 21: Appendix
Appendix 1. Changes in Financial Results 2. Changes in Indexes 3. Changes in Financial Results by Segment 4. Numbers of EDMs Ordered and Sold 5. Ratio of Overseas Sales by Segment 6. Maintenance Service Ratio 7. Outline of Business, New products 8. Exhibition Information 21
Slide 22: Changes in Financial Results
Changes in Financial Results 1Q 2Q 3Q 4Q 1H 2H Full Year FY2020/12 20/03 20/06 20/09 20/12 20/01-20/06 20/07-20/12 20/12 YoY YoY YoY YoY YoY YoY YoY Net Sales 13,030 69.2% 13,671 98.4% 14,042 82.6% 17,285 96.7% 26,702 81.6% 31,327 89.8% 58,030 85.9% Cost of Sales 8,957 73.5% 9,313 101.2% 9,615 81.2%
Slide 23: Changes in Indexes
Changes in Indexes Number of employees 17/03 17/09 17/12 18/06 18/12 19/06 19/12 20/06 20/12 21/06 21/12 22/09 separate 661 690 701 743 755 801 841 869 886 914 924 1,080 consolidated 3,415 3,616 3,651 3,714 3,676 3,625 3,579 3,576 3,633 3,670 3,683 3,763 ＊Not including employee on loan to subsidiary
Slide 24: Changes in Financial Results by Segment
Changes in Financial Results by Segment 1Q 2Q 3Q 4Q 1H 2H Full Year FY2020/12 20/03 20/06 20/09 20/12 20/01-20/06 20/07-20/12 20/12 YoY YoY YoY YoY YoY YoY YoY Net Sales 8,238 61.7% 8,825 87.5% 9,254 83.7% 11,706 103.6% 17,063 72.8% 20,961 93.8% 38,024 83.0% Machine Tool Segment profit 197 9.0% 744
Slide 25: Numbers of EDMs Ordered and Sold
Numbers of EDMs Ordered and Sold EDM Orders (Units） FY2020 FY2021 FY2022 1-3 4-6 7-9 10-12 Total 1-3 4-6 7-9 10-12 Total 1-3 4-6 7-9 10-12 Total North&South 56 28 59 82 225 58 70 54 68 250 81 58 56 195 America Europe 78 61 65 77 281 100 108 113 106 427 96 106 58 260 China 350 512 468 558 1,888 1,007
Slide 26: Ratio of Overseas Sales by Segment
Ratio of Overseas Sales by Segment North and South (million yen) Japan Europe Greater China Asia America 25,000 20,000 15,000 Others 10,000 Food machinery Industrial machinery 5,000 Machine tools 0 2021年 FY21 2022年 FY22 2021年 FY21 2022年 FY22 2021年 FY21 2022年 FY22 2021年 FY21 2022年 FY22 2021年 FY21 202
Slide 27: Maintenance Service Ratio
Maintenance Service Ratio Quarterly trends in maintenance services and Breakdown of machinery sales/maintenance service and consumables sales consumables (million yen） 3,000 Machine 9,037 3Q FY21/12 3Q FY22/12 Tool 7,512 2,000 Maintenance services and 7,512 20.2% 9,037 21.2% consumables 1,000 33,526
Slide 28: Outline of Business
Outline of Business Segment Machine tools Industrial machinery Food machinery Die-sinker EDM Horizontal injection molding Noodle-making equipment Wire-cut EDM machine (Noodle production line) Sterile-packed cooked rice production system Small Hole EDM Metal 3D Printer Vertical injection Key molding
Slide 29: New products
New products Electrical discharge machine (EDM) Metal 3D printer VN400Q AX350L LPM450 VN600Q Wire-cut EDM entry model revamped Super-precision wire-cut EDM that meets the demand Metal 3D printer that realizes stable large-sized for long-time stable processing and labor saving modeling Four-axis line
Slide 30: Exhibition Information
Exhibition Information Exhibited at IMTS 2022, one of the world’s four largest machine tool fairs At IMTS 2022 held in Chicago, the U.S., in September 2022, we demonstrated our wire-cut EDM ALN600G equipped with i Groove, a wire rotation mechanism that we developed in-house. Among the exhibited mach
Slide 31: Disclaimer
Disclaimer This presentation material has been prepared exclusively for the purpose of providing information; the material was not created to advertise, solicit, market, etc., specific products or shares of the Company. The information included in this material is not required by the Financial Instr